Revenue Secretary Sanjay Malhotra told channels that there was no need to consult the gaming industry and amendments to enable the tax will be brought in the monsoon session of parliament, which begins later this month.
Companies and investors plan to approach the government and the prime minister’s office to request a rethink, a source with knowledge of the matter told Reuters on condition of anonymity. "The bigger players might have more capital to burn to get through this phase, but unfortunately startups will not have that chance," said Aaditya Shah, chief operating officer of IndiaPlays, a gaming startup.
Maharishi Chattopadhyay, an avid gamer and co-founder of artificial intelligence platform Beatfantasy said he would shift investment towards mutual funds and away from fantasy games.